Netflix’s stock skyrocketed today after they released their Q4 earnings report yesterday. Turns out, they’re making a lot more money than you think:
Earnings also rose to a new quarterly high of $83.4 million, or $1.35 per share, a 72 percent increase from the same time last year. The latest quarter included a one-time gain of $39 million from the resolution of a tax audit.
I wish I had some #netflix stock
Advertisement— Mahsa T (@Heyitsmahsa) January 21, 2015
I wish I had some, too, especially at $400 a share. Everyone’s excited about the streaming platform. Not only is their subscriber base growing, but they plan on churning out over 320 hours of original content this year, in addition to expanding into Australia and New Zealand. According to Variety:
Netflix expects to add 4.05 million subscribers in the first quarter of 2015, including 1.8 million in the U.S. and 2.25 million internationally, to stand at 61.4 million global members at the end of the period.
And while there will be some strong competition this year from networks releasing their own streaming service, there’s just something about Netflix:
On a call with investors discussing the Q4 results, Hastings said that the median number of hours viewed on Netflix continues to climb. “That’s the main thing we track internally,” he said, because it correlates with retention. Hastings declined to disclose what that figure is currently.
The best advice from around the web? If you don’t have a good VOD strategy, you need to get on that, or at least start easing into a closer relationship with Netflix.